The House of Representatives Committee on Pensions is set to amend the Pension Reform Act (PRA) 2014 to address emerging issues in Nigeria’s pension system.
Committee Chairman, Mr. Hussaini Jalo, disclosed this during a stakeholder engagement session on the proposed review held in Abuja.
He called on stakeholders to submit suggestions on areas of the Act that require revision.
Also speaking, the Clerk of the National Assembly, Mr. Kamoru Ogunlana, noted that workers under the National Assembly Service Commission were pushing to return to the Contributory Pension Scheme (CPS). He said this was contained in a memorandum submitted to the committee.
Ogunlana explained that the National Assembly Service Pensions Board (Establishment) Act, passed in April 2023, removed NASS workers from the CPS. However, the Act is yet to be implemented, and recent developments indicate a possible shift in opinion among staff and management.
The Director-General of the National Pension Commission (PenCom), Ms. Omolola Oloworaran, represented by the commission’s Secretary/Legal Adviser, Muhammad Muhammad, acknowledged the need for reform and said a review process was already underway.
She urged stakeholders to revisit outcomes of the 2022 consultations to confirm earlier agreements and address new challenges, especially around retirement benefits.
“The commission supports a comprehensive review of Section 7(1) and (2) of the PRA 2014 to improve lump sum payouts and ensure a more equitable retirement system,” she said.
She pledged PenCom’s collaboration with both House and Senate committees for a seamless review process.
Also at the session, the Executive Secretary of the Pension Transitional Arrangement Directorate (PTAD), Mrs. Tolulope Odunaiya, called for legal recognition of PTAD as a corporate entity in the proposed amendments.
Mr Oguche Agudah, CEO of the Pension Fund Operators Association of Nigeria (PenOp), noted that the Act was over a decade old and needed an update to reflect current realities.
He stressed the importance of ensuring sustainable investments, wider coverage, and regulatory independence for PenCom.
“Only six states currently have full coverage under the scheme. The review should also ensure that remittances are made only through approved payment platforms,” Agudah added.
